12/5/14 Portfolio, Program & Project Mgmt and PMIs Supporting Credentials & Standards NotesPresented by: Brian Grafsgaard, Quality Business Solutions (QBS), bgrafsgaard@qbs.com

IntroductionThe number of PMP’s has really grown over the years.

Who Is a: PMP? PgMP? PfMP? Other? Who is interested in Pursuing? Who would rather answer after I describe them?

The Road Ahead QBS / Speaker Introduction Organizational Performance Ecosystem

Portfolio Management Program Management Project Management

Associated PMI Credentials (and Standards) Program Management Professional (PgMP)® Portfolio Management Professional (PfMP)® Project Management Professional (PMP)®

not covered during presentation How Credentials Are Developed

Speaker Biography – Brian GrafsgaardDirector of Professional Services at QBS with 25+ Yrs Experience Leading Innovative People, Process & Technology Solutions:

PMP® Certification—Oct. 1998 (#12027) PgMP® Certification—June 2007 (#1!!!)

o Pilot Participant & Exam Developero PgMP® Panel Review Committee (PRC)

PfMP® Certification—Feb. 2014 (#73-T)o Pilot Participant & Exam Developer

Introduction Actively Involved in PMI

o The Standard for Program Management–Third Edition (2013)o Requirements Management Practice Guide–First Edition (2015)o PMI Change Management eSeminars Instructor

Program Management: A Life Cycle Approacho Chapter 21: Portfolio, Program, & Project Management As Enablers of Innovation (2012)o Taylor & Francis Group (Dr. Levin, editor)

Organizational Performance EcosystemA program is comprised of many projects that need to be managed and facilitated on an ongoing basis, but there’s also a Portfolio piece to determine the right needs, and Change Management:

Confirmed by PwC Global Survey (2014)o Portfolio Management: Optimize initiatives to

maximize return – need to manage your investments

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o Program / Project Managemento Benefits Realizationo Change Management: There’s a whole science on change managemento Talent Management: Part of this is having Portfolio Managers

A Brief Word on Talent Management: Consider competencies in following context – they change and grow over time, and have a whole different set of skills. What are the skills needed and where do they fit in the business strategy?o Technical Project Managemento Leadershipo Strategic & Business Management

Dimensions apply to all roles and across your career:o Tactical to strategic

A Brief Word on Change Management – Key Concepts:o Delivery brings the right ideas to fruitiono Adoption helps realize intended benefit

Incremental to Transformational – Newsletters, training, brownbag lunches to provide sneak-peaks & information to familiarize users with what’s coming in a new system:o Change Management effort must be recognized at portfolio, program and project levelo Life cycle parallels program benefits management life cycle

Change Management Life Cycle:o Formulate change – Define scope of change & assess readinesso Plan change – Define change approach and plan for transitiono Implement Change – Prepare organization for change and deliver project results

Manage Change Transition:o Transition results into business operations and foster adoption

Sustain Change:o Communicate & consult with stakeholders and measure benefits realizationo Sustainment may result in new programs / projects

Success Begins with Portfolio ManagementIt’s all about how you vet the ideas to determine which will be done. The purpose of the portfolio is to realize benefits and provide business value:

A portfolio should be a true measure of an organization’s intent, direction, and progress.

Every organization has this even if it’s at a zero level maturity – there’s hidden work going on as users go directly to the developers to get what they need done.

Governance needs to be put into place so that IT isn’t working on the wrong stuff.

Portfolio Management Portfolio Management helps

organizations do the right work by managing alignment and investment of resources.

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Balances investment of organization’s (limited) financial resources and talent on the right initiatives… Everything should be aligned with your business strategy – don’t even spend time vetting it if it doesn’t.

Portfolio Management CapabilityEvery request goes through the top of the funnel. You need visibility to what all of the other groups are doing.

Portfolio Management Knowledge Areas Portfolio Strategic management

o Develop portfolio strategic plan, portfolio charter, and portfolio roadmapo Align portfolio to organizational strategy

Portfolio Governance managemento Portfolio oversight processes & activitieso Plan for definition, optimization, and authorization of portfolio

Portfolio Performance Managemento Have a Steering Committee to determine optimal mix and sequencing of proposed project to best

achieve strategyo Manage souring of key resources

Portfolio Communication Managemento Develop portfolio communication management plano Manage portfolio information

Portfolio Risk Management – Positive risk (opportunity) is key benefit of Portfolio and Program Management:o Assess & analyze portfolio risks

Mitigate threat that can adversely impact portfolio Critical where interdependencies exist between high-priority portfolio components, cost of

portfolio component failure is significant, or risks from one portfolio component affect another Capitalize on potential opportunities

Key Outcomes – Know where you can slot the projects and when resources are needed – have a map of what skills are needed when:o Selection & prioritization criteria and process defined – determine if it’s a candidateo Prioritized program / projects – will it serve customer & business needs better

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o Resources allocated to program / projectso Ability to monitor portfolio performanceo Portfolio roadmap to establish sequence

Program & Project ManagementFor a program you may have to forgot about the small project details for a while and just get the solution out there, but that’s not easy for a project manager – you need to meet the overall business needs.

As a Program Manager you don’t manage the scope of the projects, but rather the dependencies across the projects in the program:o What are the benefits and when will they be realized?o Are there issues to be addressed that will have a ripple effect across projects in the program?

Program & Project Mgmt help organizations do the work right by managing & optimizing execution:o Provides foundation to effectively manage execution and delivery of initiatives and realize intended

benefits.o Balances work and resources between initiatives.

Program Management Program Management aligns interdependent projects to achieve program goals and enables integrated

& optimized cost, schedule, & effort. Enables prioritization & optimization of resources across component projects, while maintaining

strategic alignment.

Program Management Capability Coordinates management & pacing of components projects Identifies synergies & economies of scale across component projects Optimizes scope / cost / schedule across component projects Provides integrated risk management across component projects (positive and negative)

Program Management Knowledge AreasProgram level risks can be disastrous because they affect all of the projects in the program:

Program Strategy Alignmento Define and align program vision, mission & objectives with organization strategy (and portfolio)o Transform program strategy to program roadmap and resulting benefits / capabilities

Program Benefits Managemento Ensure that organization will realize & sustain intended benefitso Manage benefits across program roadmap

Program Stakeholder Engagemento Identify, analyze, engage, & communicate to facilitate adoptiono Determine how program outcome & benefits will impact stakeholders (internal and external)

Program Governanceo Monitor program performance & alignment with strategyo Resolve program level issues, risks, & change

Program Life Cycle Managemento Optimize cost / schedule / resources across component projectso Initiate, plan, execute, & close component projects and related work (iterative manner)o Manage interdependencies between projects

Project Management

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Project Management is the application of knowledge, skills, tools, and techniques to project activities to meet project requirements [within constraints of time, cost, scope, quality and proactive management of risk].

In context of portfolios and programs, project results are the building blocks of benefits realization. There are constraints – you don’t get unlimited resources, time, money… quality can suffer. There’s

always one piece of the triangle that can’t change. Know what that is and then work from there.Project Management CapabilityPortfolios & Programs don’t build anything – projects are where the “magic” is:

Manages discrete efforts to deliver expected benefits through creation of quality products, services, or capabilities within defined constraints

Maintains alignment of results with program & organizational strategy Addresses uncertainty & risk through proactive risk management across project life cycle

Project Management “Life Cycle”The Project Manager is the carpenter or builder – more tactical in nature:

Right Skills are Critical for All Three Roles

Supporting PMI Credentials & Standards

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If Nothing Else…Credentials force you to learn the science:

You must know the standards and related material Profession requires that you practice the Art:

o Each discipline is an art grounded in scienceo Exams are becoming more experienced-based

PMI Offers 8 Complimentary CredentialsFour Supporting Credentials:

1. PMI Risk Management Professional (PMI–RMP)®2. PMI Scheduling Professional (PMI–SP)®3. PMI Agile Certified Practitioner (PMI–ACP)®4. NEW: PMI Professional in Business Analysis (PMI-PBA)®

Four Core Credentials:1. Certified Associate in Project Management

(CAPM)®2. Project Management Professional (PMP)®3. Program Management Professional (PgMP)®4. Portfolio Management Professional (PfMP)®

Program Management Professional (PgMP)® Designed for those who manage multiple, complex

projects to achieve strategic and organizational results

Recognizes demonstrated experience, skill and performance in oversight of multiple, related projects that are aligned with organizational objectives

Requires Project & Program Management experience

Portfolio Management Professional (PfMP)® Designed for those who manage and align a

portfolio of projects and programs to realize organizational strategy and objectives

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Recognizes advanced experience, skill, and performance in coordinated management of portfolios to achieve organizational objectives

Does Not Require Project & Program Management experience

Three Step Evaluation Process1. Application Review (validate eligibility)

Application / Experience Verification (details!)o Portfolio or Program description and contact info for client, manager, or primary stakeholdero 4 or 7 non-overlapping years of experience + 8 years business experience for PfMP

PgMP: Also include project description and contact info for client, manager, or primary stakeholder for each projecto 4 non-overlapping years of experience

2. Panel Review (validate experience) Portfolio / Program Management Experience Assessment by Panel Review Committee (PRC) Based on 5 Experience Summary Statements

Take time to understand what is being asked!o Look at Exam Spec to help understand “domain”

Focus on I, not weo Need to know what you did, not the team

Focus on how, not whato Don’t use the 500 words describing the outcome, summarize how you arrived at the outcome

Okay to frame the responses with situation PgMP Example : Strategic Program Management

o Option A: Developed program justification and business case in alignment with the organization’s strategic plan

o Option B: Monitored the business environment, program goals, and benefits realization plan in order to ensure the program remains aligned with organization’s strategic objectives

PfMP Example : Strategic Alignmento Option A: Identifying and prioritizing portfolio criteria and evaluating portfolio component priorities

based on the organization’s strategic goalso Option B: Creating and/or updating a portfolio roadmap based on the organization’s strategic goals

and objectives3. Examination

Exam Questions Are Primarily Scenario Basedo Establish a “Situation” and Ask One of More Questions About Ito Weren’t Allowed to Create “Distracters”

Referenced to Current Portfolio/Program Mgmt Standards as well as other bookso More “Experiential” Based than typical certification exams (application of knowledge)

Exam will likely take all 4 hours!

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o It’s a lot to read and “process”o Need to put yourself in that situationo Take multiple passes if you need to

3 Attempts to Pass within 1 Year ($500 per retry)o If you don’t pass you must wait a year and start all over again

Review associated credential handbook:o Review associated Examination Specificationo Test yourself with Sample Questions (if available)o Study associated Standard & PMBOK® Guideo Read current titles in that discipline (eReads)o Enroll in a formal study course or review self-study books, or form a study group

Provide Context to CredentialsMarket Surveys determined that there was a need for the PgMP. Those who wrote the exam (pilot group) determine the cutoff scores. They’re constantly refreshing the exam database.

Credential Developed if Market & Need Existso Role Delineation Study Becomes Basis for Exam Specification

Exam Developed from Specification & Supporting Materials by SMEso Exam & Entire Credential Process Is Piloted

Process Refined & Passing Score Established Credential Is Released to Public

o Credential is Marketed and Handbook is Published Credential Enters Continued Care Phase

o Exam Development Sessions Continueo SMEs Continually Review Process & Resultso Credentialing Process & Supporting Standards Continue to Evolve

Comparative Overview of Project, Program & Portfolio Management

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